Inter-institutional agreements:
Why? When? And how?
February 21, 2014
Overview
1.
2.
3.
4.
5.
6.
RAN updates
Introduction to Research Collaboration
Preparing an inter-institutional application
Managing an inter-institutional project
Managing inter-institutional agreements issued to McGill
Conclusion
RAN Updates - Budget 2014
Budget 2014 presented February 11, 2014. Highlights include:
• Funding increases for Tri-Agencies
• CIHR: $15 M
• NSERC: $15M
• Industrial R&D fellowships will be phased out. Mitacs will now
run all industrial-sponsored internships
• SSHRC: $7M
• Additional $10M over two years in targeted funding for a
Social Innovation and Community Colleges Fund
• Indirect Costs Program $9M
• Mitacs
• $8M over two years to expand the Elevate Postdoctoral
Fellowships Program
• Funding is now available to not-for-profit organizations with
an economic focus
RAN updates
• FRQ – Request for Instalments Process
1.
Request for instalment (portal open now) must be submitted
online for OSR review and approval
• All leaves must be indicated in the request for instalment. Contact
Amy for more details.
2.
3.
FRQ considers the requests & confirms instalments for 2014-15
fiscal year
Grant holder must go back into electronic system to “Accept”
the instalment
• CIHR – Foundation Scheme Live Pilot - Update
• Funding start date has been changed from October 1, 2015 to
July 1, 2015
• PI departures, leaves, as well as new recruits
• Will be discussed at next meeting, but contact Amy for more
details
RESEARCH COLLABORATION –
INTRODUCTION
Key terms I
• Inter-institutional agreements: also known as
subaward/subgrant agreement, transfer of funds, subcontracts
• Originating Sponsor: ultimate source of the funding
• Prime Institution (“Prime”): the institution awarded funding
from the originating sponsor
• Collaborating Institution: the institution receiving the funding
via subaward agreement (also referred to as subrecipient)
Research Collaboration
• Increasingly common that researchers are
working in teams
• Sponsors are encouraging more collaboration among
researchers, because:
• Adds a new perspective to research problems
• Maximizes research investment and avoids duplication of
funding for similar research objectives
• Increases international profile of institutions and sponsors
• Canada's S&T Strategy: Mobilizing Science and
Technology to Canada's Advantage (published in
2007)
• Highlighted that Canada did not have enough
collaboration and partnerships, particularly in STEM
fields
• Outlined strategic goal of fostering collaboration to
improve Canada’s economy
Types of Collaboration
Disciplinary research
• a team of researchers from one academic field working to advance a
common, shared program of research.
Interdisciplinary research
• a mode of research by teams or individuals that integrates information,
data, techniques, tools, perspectives, concepts, and/or theories from two
or more disciplines or bodies of specialized knowledge to advance
fundamental understanding or to solve problems whose solutions are
beyond the scope of a single discipline or area of research practice.*
Partnership
• a multi-directional flow of knowledge, often incorporating perspectives
from non-academic sectors to develop new knowledge and expertise.
*See Interdisciplinary Research, National Science Foundation
Types of Funding Programs
Standard Grant
Partnership
Joint Initiative
Co-Funding
• All funds are paid to
the administering
organization who
then disperses the
funds via subaward
agreement as
required.
• Grant funds paid to
one administering
(lead) institution
• Cash and/or in-kind
support often
required from lead
and partnering
organizations which
must be managed
at institutional level
• Program is
supported via
several funders but
all support is
collected by the
primary sponsor
who then issues
one payment to the
lead institution
(managed like a
standard grant)
• One project is being
supported but
payments may be
made via several
organizations.
• Either paid to one
institution or can be
paid to each
institution directly
• Example: Digging
into Data
Reality of Research Collaboration
• Although grant is awarded to McGill as lead applicant institution, it is codirected by researchers located at different collaborating institutions or
organizations.
• Each co-director will be incurring project-related expenses at their
institution.
U of T
Harvard
Cambridge
• Anticipated Project
Costs:
• Student
• Travel
• Participant costs
• Anticipated Project
Costs:
• Student
• Conference
Organization
• Anticipated Project
Costs:
• Research Associate
• Participant Costs
So, how does this work?
Total grant is awarded to McGill.
McGill is responsible for reporting to the
sponsor.
For the sponsor, the relationship is
uniquely between them and McGill.
Sponsor
McGill
U of T
Harvard
Cambridge
McGill can prepare subaward agreements which flow down
portions of the funds, along with agency terms and
conditions, to the collaborating institutions.
I’m sorry, but I’m still confused.
How does this work?
Grant awarded to lead institution
Award approval and Fund creation for full award
Principal Investigator requests, in writing, subaward(s) noting
the investigator(s), the institution(s) and the amount(s)
McGill (OSR/RFMS) prepares and issues the subaward
agreement
Collaborating Institution agrees to a legal relationship to manage
the grant according to outlined terms and conditions. Award
approval process begins at the Collaborating Institution
PREPARING AN INTER-INSTITUTIONAL
GRANT APPLICATION
Start early!!
Review
objectives and
requirements
of the
opportunity
OSR Grants Officer can
provide additional
expertise on the agency
requirements,
strategies for success,
as well as the internal
deadlines. Important to
contact OSR as early as
possible in the process.
Proposal
submitted to
OSR for review
Contact
OSR
Grants
Officer
Gather
application
requirements
Draft proposal
and other
application
requirements
Make a list of
what is needed for
the application.
CVs, biosketches for research team
members, letters of support,
institutional signatures for team
members, etc.
Considerations:
Application Phase
 Are institutional signatures required for participating institutions?
 If so, have the research team members advised their Research
Offices?
If funds will be used at an
 Eligibility requirements
affiliated hospital, a
subaward agreement will be
required.
 Who can incur research expenses?
 Are subawards allowable?
 Does the role assigned in the application (e.g., coapplicant/collaborator) reflect the activities that they will undertake?
 Research plans
 Is it possible to issue funds to organizations located elsewhere in
Canada or abroad?
Is there any required matching contributions? With most partnership
programs, there is a required matching.
 Have the sources been confirmed?
Roles within a project
Co-Applicant
• Involved in intellectual direction of the project
• Expected to incur research expenses
• AKA: Co-investigator
Collaborator
• Advisory role within the project
• May incur project-related expenses but not intended to be
involved in the conduct of research
Consultant
• Providing a service to the project
• Fee for service arrangement
• Does not contribute to intellectual direction of the project
Vendor
• Enterprise selling goods on the public market
Considerations:
Foreign Organizations
• Currency: subawards are issued in Canadian Dollars (with the
exception of awards issued to McGill in USD, which can be
issued in USD).
• Recipient institution may convert to domestic currency for
internal grant management, but all reporting must be done in
Canadian Dollars (except in cases of subawards issued in USD,
which are reported in USD).
• Financial Management: when issuing to foreign not-for-profit
organizations, OSR assesses the capacity of the organization to
adhere to financial management requirements.
• The Federal Agencies' Grant and Award Management
Questionnaire (used by the Tri-Agencies) is a useful tool in
assessing expected grant management mechanisms.
• If McGill has concerns of the mechanisms in place, it may propose
other options to mitigate that risk
Considerations: Budget
Rates of pay for research personnel
Keep in mind rates of
Per diem rates for travel
pay are significantly
higher elsewhere in
Taxes
Canada.
HR policies
Institutional agreements with certain agencies
Risk Management (insurance)
Audit Requirements (for ex., record retention, audit costs,
etc.)
In cases where subawards/subcontracts are anticipated, the institutional
requirements of each collaborating institution should be taken into
consideration when building the budget.
Considerations: Indirect Costs (IDC)
• It is expected that the indirect
costs are shared, if allowed by
sponsor. In those cases,
subaward would be inclusive of
any indirect costs.
• If no sponsor rate exists, the
institutional policy for IDC is
applied. Each subaward
agreement will be inclusive of
the institutional rate of the
subrecipient institution.
• If indirect costs are not
allowable, all recipient
institutions must waive indirect
costs.
U of T
portion (incl.
institutional
IDC rate of
10%)
Harvard
portion (incl.
institutional
IDC rate of
30%)
McGill
portion (incl.
institutional
IDC rate of
15%)
Cambridge
portion (incl.
institutional
IDC rate of
20%)
IDC rates of all Collaborating Institutions
must be factored into the application
budget, if subawards expected.
Results Announced
Application was awarded funding.
Now, the implementation for the
multi-site project begins.
MANAGING AN INTER-INSTITUTIONAL
PROJECT
Roles and Responsibilities –
Subaward agreements
Principal Investigator
• Determines the
intellectual direction of
the research project
• Determines and
monitors project
activities in
collaboration with
team members
• Requests the
Subaward,
amendments
• Advises central offices
about any necessary
changes to agreement
McGill – Central Offices
(OSR, RFMS)
• Prepares and executes
Subaward agreements
& amendments on
behalf of McGill
• Liaises with sponsor
• Clarifies terms and
conditions for recipient
institution
• Follows up with
recipient institutions if
audited
Subrecipient Institution
• Negotiates and signs
the agreement on
behalf of the
institution
• Ensures compliance
with terms and
conditions
• Liaises with McGill
• Notifies McGill of
required changes to
the terms of the
agreement
• Provides supporting
documentation to
McGill, as required
PI/Research Team responsibilities
in inter-institutional projects
When a inter-institutional/team project is awarded the PI should:
• meet with the research team to discuss expectations regarding:
 Research plans (including roles and responsibilities for team
members)
 Intellectual Property
 Data ownership
 Equipment ownership
 Publication (including co-authorship)
• Involve research offices and research administrators from all the
institutions as soon as possible following award results
Scopes of Work
• In consultation with research team, PI should develop Scopes of
Work for each anticipated subaward agreement.
• As a best practice, a Scope of Work should describe the expectations
and requirements of the Prime Institution from the subrecipient,
including:
Anticipated activities and outcomes
Timelines for the achievement of deliverables
Expected method to meet the deliverables
Budget breakdown by cost categories
Reporting schedule to the PI/team
Scopes of work are to the PI’s advantage as they outline the expected
activities and can be used to resolve disputes between parties.
Other considerations: research
compliance
• Inter-institutional projects may require approval from several
Research Ethics Boards (REB) and/or Animal Compliance
offices
• Considerations for the Prime Institution:
• If any activity to be conducted under the project will involve
human subjects and/or animal subjects, regardless of the
research site, an approval from the Prime’s REB or Animal Care
Committee is required.
• Considerations for the subrecipient(s):
• If the research being conducted at the research site will involve
human subjects and/or animal subjects, an approval from the
applicable office at the recipient institution will be required prior
to account authorization there.
Why issue subawards ?
• Binds all parties to the originating sponsor’s requirements
• Creates a legal relationship between institutions to ensure
compliance with regulations, including:
• Financial Administration (account management, record
keeping, use of research funds, etc.)
• Financial reporting
• Responsible conduct of research (ethics, research integrity,
etc.)
• Provides opportunity for research team to include language on
reporting, intellectual property, governance, etc.
• Subrecipient is usually required to submit financial and
technical reports earlier than the sponsor deadline for the
prime institution.
Why issue subawards? (continued)
• Required in all cases where research funding is being issued to
another institution
• McGill will not pay or issue an invoice without a subaward agreement
in place.
• Mitigates the risk for the prime institution by ensuring
compliance with governing terms and conditions. Note: Prime
institution continues to be accountable to the sponsor for the
entire awarded amount.
• Mitigates the risk for the subrecipient institution as it ensures
a legally binding obligation to pay for research costs incurred.
• Signed agreement allows the institution to authorize Fund
opening. It is not the receipt of the payment, but rather the
execution of the agreement, guaranteeing payment, that
allows spending power.
Who to contact?
RFMS
OSR
• Issuance of agreement to
eligible institutions
• Agencies: SSHRC, NSERC,
CIHR, FRQSC, FRQNT, and
FRQS.
• Issuance of agreements to
ineligible institutions on TriAgency grants
• Issuance of agreements on
other research funds
Template sub issued by RFMS
Template sub issued by OSR
Key terms Take 2
• Originating Sponsor: ultimate source of the funding.
• Prime Institution (“Prime”): the institution awarded funding from the
originating sponsor
• Listed as the “Sponsor” in InfoEd for any inter-institutional agreements issued to
McGill
• Collaborating Institution: the institution receiving the funding via Subaward
agreement (also referred to as subrecipient)
• Period of Performance: the full period of collaboration (e.g., April 1, 2012 to
March 31, 2017)
• Budget period/instalment period: the period for each budget instalment (e.g,
April 1, 2012 to March 31, 2013). It is common that the period of performance is
indicated but each budget year amount confirmed annually.
• Although project period confirms the duration of the researcher’s involvement in
the project, carryover is clarified in the governing terms and conditions.
• Amendment:
• OSR: amends the terms of the original agreement (for ex., a new budget year,
additional funding, changes in scope of work, etc.)
• RFMS: amends the terms of the annual transfer of funds (for ex., increase in
funding for a budget year where a transfer has already been issued)
Payment Mechanisms
Accountable Advance Payment
Cost-reimbursement
• Money is issued in advance of
expenditures (usually upon
signature of the agreement)
• Collaborating institution provides
financial statements, reconciling
expenses against the funding
provided
• Unspent funds at the end of the
Period of Performance must be
returned
• Common for Tri-Agency & FRQ
grants
• Collaborating institution advances
uses of funds (like a line of credit)
to PI there with the understanding
that the payments will be received
at a later date
• Collaborating institution incurs
expenses in advance of payment
• Claims sent to prime institution
reporting on actual expenditures
incurred
• Prime institution issues payments
based on real costs incurred
• Common for non-Tri-Agency
funding (US Federal, etc.)
Generally, the method of payment from the Originating Sponsor
dictates the method of payment on subawards.
Subaward – Options
Annual (Issued by RFMS and OSR)
• Instalments are confirmed via an agreement issued annually
• PI must contact OSR/RFMS each year to request amendment/agreement
• OSR/RFMS must issue and execute an amendment/agreement each year
confirming the next instalment
• Total Project Period can be noted on the face page of the subaward
(confirms end date for use of funds) but allocates budget one year at a
time
Multi-year (Issued by OSR only)
• One agreement is executed, covering all years of the project
• If paid via accountable advances, PI must notify RFMS Financial
Administrator each year to prompt issuance of the next payment
• Amendments may be issued to modify award parameters as required
OSR issued subawards
Fund created for prime
award
McGill researcher must
contact OSR requesting
the subaward
Awards OSR assesses the
request and follows up
with PI
Subaward negotiation
phase
Draft Subaward
agreement sent to PI
then to collaborating
institution for review
Awards OSR begins
preparing Subaward
agreement
Subaward executed
Agreement uploaded
into Agreements tab of
InfoEd and sent to RFMS
for action
RFMS either issues
payment (for advances);
OR, encumbers the
amount subawarded (for
cost reimbursement)
RFMS issued subawards
PI requests Subaward
via email to financial
administrator
Financial Administrator
assesses eligibility of
institution and
availability of funds
Letter of Transfer
prepared by RFMS
Payment issued
following receipt of
signed copy
Fully signed letter
uploaded into InfoEd
Letter of Transfer
issued to recipient
institution
PI notified when
payment is issued
RFMS sends reminders
to recipient institution
for annual financial
statement
RFMS issues Letter of
Transfer for each
instalment upon
request from PI
When can Tri-Agency funds be Subawarded?
Desired Action
Transfer of funds to Co-investigator
Transfer of funds to Collaborator
Transfer of funds to eligible team
member but ineligible organization
(including NGOs, international
universities, etc.)
Transfer of funds to ineligible
organization (including NGOs,
international universities, etc.) with no
eligible team member
Cost reimbursable agreement with
ineligible Canadian organization
(including affiliated hospitals)
Cost reimbursable agreement with
ineligible non-Canadian organization
Agency
Office
NSERC SSHRC CIHR RFMS OSR
RFMS issues to:
NSERC Eligible Institutions
SSHRC Eligible Institutions
CIHR Eligible Institutions
OSR issues to:
All other institutions
MANAGING INTER-INSTITUTIONAL
AGREEMENTS ISSUED TO MCGILL
Subawards to McGill
Grant awarded to Prime
Institution
OSR approves the creation
of the Fund per subaward
parameters and notifies
RFMS (see Life Cycle
Presentation of Feb. 2013)
Any changes to subaward
parameters requires an
amendment
Lead PI requests subaward
from their research office
Subaward received at
McGill
Awards OSR negotiates
and executes agreement
Awards OSR contacts
McGill researcher for
required docs as may be
needed (checklist,
proposal, certificate)
**Project Period noted on subaward
dictates Fund end date**
IN CONCLUSION
Common delays
• Research Office is not aware of the subaward. PI has not
requested that the subaward be issued.
• Often PIs assume that OSR/RFMS will automatically issue the
subaward. We cannot proceed without written authorization
from the PI.
• Details are missing to complete the subaward
• Recipient institution is not aware of the grant and must start
building the file from scratch
• Discrepancies between the expectations of the research team
members (amount issued, reductions in budget, grant period,
expected activities, etc.)
• Activities described in the research proposal are not in line
with the use of funds guidelines of the agency.
Common subaward terms and
conditions
• Payment mechanism:
 Accountable Advance
 Cost Reimbursement
• Period of Performance
 Single year (is it really a one year
collaboration?)
 Multi year
• Budget period confirmed (Y/N)
• Carry forward from one instalment year to the next
(Y/N)
• Reporting deadlines
• Reporting of co-investigator to PI
• Financial statements/invoices/deliverables required
• Flexibility of budget line items (Y/N)
• Ownership of equipment confirmed
 Collaborating institution
 Prime institution
• Audit requirements
• Record retention guidelines
• Audit required
Thank you!
Questions?